ARTICLES ABOUT PMEAC BY DATE - PAGE 5

NEW DELHI: The PM's Economic Advisory panel expects foreign direct investment (FDI) in India to increase to $ 36 billion this fiscal on the back of supportive policies. "For 2013-14, we are projecting that with supportive policies it is possible to generate higher levels of inbound FDI flows of the order of $ 36 billion, comparable to four of the previous six years," the Prime Minister's Economic Advisory Council (PMEAC) report said. The outbound FDI is also expected to increase, resulting in net FDI inflow of $ 24 billion, it said.

In an interview with ET Now, Bibek Debroy, Professor, Centre for Policy Research, shares his views on the PMEAC report and the economy. Excerpts: ET Now: PMEAC has projected growth rate of 6.4% for current fiscal, but a few people said that it was optimistic and their targets were 6%. Just a word on the headline number. Bibek Debroy: Well, 6.4% is on the higher side. It depends a little bit on the benchmark. The benchmark is, not in my view, the 5% we got in the last fiscal year, but the 4.5% we got in the last six months.

In an interview with ET Now, Sonal Varma, India Economist, Nomura Financial Advisory and Securities, shares her views on the PMEAC report. Excerpts: ET Now: Does the CAD number, 4.7% versus 5.1%, surprise you? A lot of people anticipated the number to be much lower. Sonal Varma: It is on the higher side. I guess the decline in oil and gold prices has been a bit too recent to be incorporated in their projections. But as Dr Rangarajan mentioned, even with the fall in gold prices, they still expect $45 billion import bill on the gold side.

NEW DELHI: Improvement in performance of agriculture and manufacturing sectors is expected to push the economic growth rate to 6.4 per cent in 2013-14 from 5 per cent in the previous fiscal, PM's economic advisory panel said today. "Economy will grow at higher rate from now. We projected growth rate of 6.4 per cent in the current fiscal", Prime Minister's Economic Advisory Council (PMEAC) Chairman C Rangarajan said while releasing the Economic Review for 2012-13 here. Economic growth rate had slipped to decade's low of 5 per cent in 2012-13 mainly on account of the impact of the global financial woes.

NEW DELHI: Agriculture and allied sector is expected to grow at a faster rate of 3.5 per cent in 2013-14 fiscal if the country receives normal monsoon this year, the Prime Minister's economic advisory panel said today. The sector's growth pegged for this year is higher than 1.8 per cent estimated for 2012-13 fiscal by the Central Statistical Organisation ( CSO ). The estimate for 2012-13 is certain to be revised and it is likely that final growth number may not exceed 2 per cent, it said.

NEW DELHI: The PM's economic advisory panel today projected about 10 per cent increase in India's exports to $ 329.7 billion during the current fiscal in view of some improvement in the global growth situation. In the 2012-13 fiscal, the merchandise exports stood at $ 301 billion. The Prime Minister Economic Advisory Council (PMEAC) report said the imports may touch $ 542.7 billion during the current fiscal, from $ 501.1 billion in 2012-13. "Growth of merchandise exports, valued in US dollars, is disappointing, from the period starting in the second half of 2011-12 and continuing through 2012-13," it said.

NEW DELHI: Prime Minister's key economic advisor C Rangarajan today hoped that inflation will come down to 6.5 per cent by end-March and suggested that steps should be taken to release more food stocks to ease price pressure. The wholesale price index-based (WPI) inflation eased to 6.62 per cent in January, from 7.18 per cent in December, 2012, as per official data released today. "The decline in inflation is a welcome and reassuring sign. I expect March end inflation to be 6.5 per cent," said Rangarajan, the Prime Minister's Economic Advisory Council (PMEAC)

In an interview with ET Now, C Rangarajan, Chairman of the Prime Minister's Economic Advisory Council (PMEAC), gives his views on the GDP growth projection for FY13. Excerpts: ET Now: What is your reaction to the sharp downtick in terms of the projection for GDP growth for FY13 at 5 per cent? C Rangarajan : The numbers are disappointing, but I believe that when the year is completed and more numbers are available, it could show a growth rate which is higher than what has been indicated.

In a chat with ET Now, C Rangarajan , Chairman, PMEAC , talks abhout the November IIP numbers and what can be expected from growth numbers in coming months. Excerpts: ET Now: What is your reaction to the IIP number and how much impact do you think the base effect has had on it? C Rangarajan: To some extent, it is disappointing. However, it appears that we are seeing a bottom of the decline in industrial production. We should see pickup particularly in the last quarter of the current fiscal.

NEW DELHI: The Reserve Bank should give preference to the non-corporate sector for new bank licences, Prime Minister's Economic Advisory Council Chairman C Rangarajan said. "It is possible for the Reserve Bank to start with initially non-corporate business and find out whether there are suitable applicants and thereafter proceed to look at the other applicants," he said in an interview. The RBI is in the process of finalising the guidelines for giving new bank licences after Parliament approved Banking Laws (Amendment)